The global Perchloroethylene market is likely to tread steadily upward from 2025 through 2035. Driven by its extensive use in industries such as dry cleaning, metal degreasing, chemical intermediates and automotive manufacturing industries, the substance will steadily grow demand and expand production capacity worldwide.
Perchloroethylene (PCE) is a very powerful solvent, with industrial cleaning and manufacturing as its major applications. A growing demand for this type of environmentally compliant solution is prompting the market to expand in response. There have been both positive and negative aspects involved in this trend.
The market is projected to surpass USD 2,384.802 Million by 2035, growing at a CAGR of 2.7% during the forecast period.
Key Market Metrics
| Metric | Value |
|---|---|
| Market Size in 2025 | USD 1,827.039 Million |
| Projected Market Size in 2035 | USD 2,384.802 Million |
| CAGR (2025 to 2035) | 2.7% |
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North America is still a major player in the Perchloroethylene Market, and the dry cleaning, metal degreasing and car trade remain key demand areas. The United States is the leading nation in this region because of its demand for industrial cleaning and as well the strict regulatory environment which helps to stop PCE from being used uncontrollably.
The Environmental Protection Agency (EPA) has been active in promoting safe handling and disposal of PCE. The development of alternative solutions also exerted a profound impact on market trends. R&D efforts aimed at developing eco-friendly substitutes have begun to gather momentum. Companies are now setting up offices and plants for the production of PCE-based solutions in order to bring those methods into line with changing environmental standards.
Europe's Perchloroethylene Market is dominated by rigid environmental regulations and the drive for sustainable development. The European Union has banned PCE use outright because of its potential for harming the environment and health risks it poses. This has caused people to look elsewhere for solvents which will not similarly pollute.
Nations such as Germany, France and the UK all have heavy industrial PCE applications, particularly in areas like metal degreasing and chemical processing. Nevertheless, growing expenditure on green chemistry and new, bio-based solvents is changing the market. The call for environmentally friendly industrial cleaning agents is expected to rearrange market competition forms according to this new era.
Asia-Pacific will probably prove the fastest growing market for Perchloroethylene, as heavy use of metal degreasing and dry cleaning stretches industrial capacity. Another driving force behind that growth is how important outbound nature of Chinese economy has become efficacious. Due to its extensive output PCE is employed in manufacturing and chemical industries in China, India and Japan.
While tightening regulatory measures are in place now throughout Asian countries to deal with environmental concerns, high consumption in the region continues due to the cost-effective production methods adopted by industries there along with their continued expansion. Countries as newly industrialized as Korea are investing more in enhancing management of waste materials and improving safety networks.
Challenge
Stringent Environmental Regulations
Due to its environmental impact, perchloroethylene (PCE) is widely used in dry cleaning. It was also used for degreasing from metal parts with any oil on them at all or oil-based paints and coatings until the eco-movement kicked in chemical processing is another application for perchloroethylene which has led to restrictive legislation. Governments around the world are restricting it due to potential health hazards or contributing conditions in air as well water pollution, which challenges industry growth.
Health and Safety Concerns
PCE exposure links directly with very serious health risks, including neurological effects caused by the agent and cancer-causing tendencies. Now, with heightened awareness of the problem brought about through measures taken by the government to regulate solvents, industries are sparing costs and striving to find alternative solvents.
Opportunity
Innovation in Sustainable Alternatives
Despite regulations companies are driving transformation of the trade by research around safer, more environment-friendly possibilities. These businesses that have innovated in green solvents and sustainable chemical processes are now getting a foothold.
Growing Demand in Industrial Applications
PCE is still indispensable in diversified industries-automobile, aerospace and metalworking where its unique degreasing qualities are unrivalled. Demand may continue for the products in spite of stringent restrictions as well as new techniques developed for safer handling and more advanced purification methods.
Between 2020 and 2024, the market for PCE showed a continued downward trend in demand. It faced increased regulatory scrutiny and preference for safer alternatives. However, the chemical still found a niche in industry and its applications are even more specialized
Between 2025 and 2035, predictions are that this market will undergo significant changes. Amid mounting environmental pressures， substitution with new environmentally friendly products may become a chief focus. To strengthen waste management, and provide more effective safety standards will also be necessary. PCE continues to be used by some industries, and as they adopt new methods for replacing it， they too will develop an increasing interest in sustainable practices.
Market Shifts: A Comparative Analysis 2020 to 2024 vs. 2025 to 2035
| Market Shift | 2020 to 2024 Trends |
|---|---|
| Regulatory Landscape | Increasing restrictions on PCE usage |
| Market Demand | Decline due to health concerns and regulations |
| Industry Adoption | Continued use in metal cleaning and industrial sectors |
| Supply Chain and Sourcing | Dependence on chemical manufacturers |
| Market Competition | Dominated by traditional chemical companies |
| Market Growth Drivers | Industrial applications and legacy use cases |
| Sustainability and Energy Efficiency | Initial adoption of green alternatives |
| Integration of Digital Innovations | Minimal impact |
| Advancements in Product Design | Focus on performance and safety compliance |
| Market Shift | 2025 to 2035 Projections |
|---|---|
| Regulatory Landscape | Stricter global bans and mandates for eco-friendly solvents |
| Market Demand | Limited but sustained demand in specialized industries |
| Industry Adoption | Transition to safer alternatives and bio-based solvents |
| Supply Chain and Sourcing | Diversification into sustainable production methods |
| Market Competition | Entry of eco-friendly solvent manufacturers |
| Market Growth Drivers | Sustainable innovations and regulatory compliance solutions |
| Sustainability and Energy Efficiency | Widespread shift to non-toxic and biodegradable solvents |
| Integration of Digital Innovations | AI-driven solvent efficiency and waste reduction methods |
| Advancements in Product Design | Development of environmentally friendly and less toxic solvents |
The Perchloroethylene Market in the United States is maintained by steady demand-the substance is a favourite of dry cleaners patients go to medical institutions for its use in making chemicals and metal parts because they help businesses produce more cheaply. Stricter laws on pollution call for cleaner alternatives, municipalities are launching eco-friendly industrial products, which in turn artificially inflates the market.
| Country | CAGR (2025 to 2035) |
|---|---|
| United States | 2.7% |
The United Kingdom Perchloroethylene Market is affected by inexorably changing policies on the sanitation environment and clean, substitute plastics. Despite increasingly tighter environmental oversight, demand continues in niche cleaning applications and some industrial uses, albeit with the continued efforts of researchers pursuing eco-friendly solutions.
| Country | CAGR (2025 to 2035) |
|---|---|
| United Kingdom | 2.6% |
In the EU, strict environmental regulations are changing how the Perchloroethylene Market should develop. Although it has seen use limited by law in dry cleaning and other areas, there is still demand for precision degreasing as well as production processes. Germany, France and other member states seek to meet their obligations under regulations for eco-friendly chemical production by investing in new technologies.
| Country | CAGR (2025 to 2035) |
|---|---|
| European Union | 2.7% |
South Korea’s Perchloroethylene Market can be seen from its application in production and industrial cleaning. The Republic of Korea is becoming increasingly environmentally aware, with citizens making use of alternate solvents as a substitute for Perchloroethyleneproduction.
| Country | CAGR (2025 to 2035) |
|---|---|
| South Korea | 2.8% |
| Type | Market Share (2025) |
|---|---|
| Ethylene Oxychlorination | 47.2% |
Led by its wide application in industrial cleaning, refrigeration and chemical processing industries and increasing imports from aboard, perchloroethylene market is developing rapidly. As for various production methods, ethylene oxychlorination retains the market lead with 47.2% of total demand by 2025.Ethylene oxychlorination is preferred because it gives a better yield for the same amount of raw material, has lower production costs and has less effect on the environment.
The catalytic process in this technique requires ethylene, hydrogen chloride and oxygen, making it more sustainable and commercially viable than traditional methods. In addition, demanding environmental regulations are encouraging manufacturers to adopt cleaner production methods, which in turn further drives the need for ethylene oxychlorination.
This method has better selectivity, lower energy consumption and can produce perchloroethylene at higher purity levels and far less impurity within normal limits. Other industries are expected to continue to promote the dominance of ethylene oxychlorination because they have more photons per atom in their catalysts and get higher production yields, still further improvements in catalysis technology will only increase this tendency from its already strong position.
| Application | Market Share (2025) |
|---|---|
| Dry Cleaning | 39.5% |
The PERC Market dry-cleaning industry is the main sector with a 39.5 percent market share by 2025.The majority of professional dry-cleaning today uses an industry standard solvent called Perchloroethylene, With PERC fabric stain removal effectiveness, safety for the user and little or no shrinkage.
With PERC goods such as commercially laundered smocks or rags being returned to the manufacturers for disposal and lower fees on recently purchased semi-closed loop high spin dry-cleaning machines, the modern PERC dry-cleaning business is enjoying a resurgence.
Despite these significant costs, hydrocarbon-based and silicone-based cleaning agents that are less dangerous to people and the environment are increasing their market share compared to PERC. In other words, the industry is concentrating on enhancing its recycling and recovery processes in order to keep compliance with ever more stringent environmental standards.
Fueled by the continuing demand from industrial launderers, textile industries and special fabric cleaning applications, the dry-cleaning segment will remain the dominant force in the Perchloroethylene Market for some time to come.
Recognized for its wide use in dry cleaning, degreasing and chemical intermediates, the market for perchloroethylene continues with steady growth. Along with changes in regulations affecting solvent use, increased demand from automotive and textile companies is having an impact on the market. Major companies are now seeking sustainable production methods and alternative technologies as a way to meet environmental standards.
Market Share Analysis by Company
| Company Name | Estimated Market Share (%) |
|---|---|
| Dow Chemical Company | 20-25% |
| Occidental Chemical Corporation | 15-20% |
| Solvay S.A. | 12-18% |
| Westlake Chemical Corporation | 8-14% |
| PPG Industries, Inc. | 5-10% |
| Other Companies (combined) | 20-30% |
| Company Name | Key Offerings/Activities |
|---|---|
| Dow Chemical Company | In March 2024, launched an eco-friendly perchloroethylene variant with lower emissions. In January 2025, expanded its production capacity in North America. |
| Occidental Chemical Corporation | In April 2024, enhanced its waste management system for safer disposal of perchloroethylene residues. In February 2025, partnered with environmental agencies to improve regulatory compliance. |
| Solvay S.A. | In May 2024, introduced a high-purity grade perchloroethylene for the electronics sector. In March 2025, developed a closed-loop recycling system to minimize solvent waste. |
| Westlake Chemical Corporation | In June 2024, expanded its distribution network in Asia-Pacific. In February 2025, invested in R&D for biodegradable solvent alternatives. |
| PPG Industries, Inc. | In August 2024, integrated perchloroethylene formulations into its industrial coatings segment. In March 2025, launched a solvent recovery program for industrial clients. |
Key Company Insights
Dow Chemical Company (20-25%)
Dow Chemical leads the market with advanced production technologies and a commitment to sustainability through lower-emission solvent solutions.
Occidental Chemical Corporation (15-20%)
Occidental focuses on safe disposal methods and regulatory compliance, maintaining its stronghold in North America and Europe.
Solvay S.A. (12-18%)
A major player in specialty chemicals, Solvay is investing in high-purity and recycled perchloroethylene solutions to cater to evolving industrial needs.
Westlake Chemical Corporation (8-14%)
Westlake is actively expanding its global distribution network and researching alternative solvents to meet tightening environmental standards.
PPG Industries, Inc. (5-10%)
PPG is leveraging perchloroethylene in coatings and recovery programs, aligning with sustainability trends in the industrial sector.
Other Key Players (20-30% Combined)
The overall market size for Perchloroethylene market was USD 1,827.039 Million in 2025.
The Perchloroethylene market is expected to reach USD 2,384.802 Million in 2035.
The perchloroethylene market will grow due to increasing demand in dry cleaning, metal degreasing, and refrigerants, driven by industrial expansion, stringent cleaning standards, and rising applications in fluoropolymer production and chemical processing.
The top 5 countries which drives the development of Perchloroethylene market are USA, European Union, Japan, South Korea and UK.
Ethylene Oxychlorination demand supplier to command significant share over the assessment period.
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Perchloroethylene Market
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